Boston — Attorney General Andrea Joy Campbell issued a statement in response to the ruling of the Supreme Court of the United States in Harrington v. Purdue Pharma L.P., reversing the decision of the Second Circuit and effectively vacating the Purdue Pharma bankruptcy plan.
“It is no secret that members of the Sackler family, through their control of Purdue, fueled the opioid crisis, devastating countless lives in the pursuit of profit. The Sacklers must and will be held responsible, and, in the wake of this decision, we will use every power available to us to make sure that occurs. My office will continue our nation-leading work to obtain the funding that is desperately needed to save lives, restore communities and fight the opioid epidemic in the Commonwealth,” said AG Campbell.
On June 12, 2018, the Commonwealth of Massachusetts filed the first lawsuit by any state against members of the Sackler family and other executives and directors of Purdue Pharma, maker of opioid drugs including OxyContin. The suit alleged that Purdue and its executives deceived doctors and the public to get more people on addictive opioids at higher doses for longer periods, causing thousands of Massachusetts residents to suffer, overdose, or die.
After Purdue filed for bankruptcy in 2019, a court put litigation involving Purdue on hold. In July 2021, Massachusetts announced with other states a settlement involving Purdue and the Sacklers that would have required billions for prevention, treatment, and recovery programs nationwide. The settlement also mandated making tens of millions of documents public to bring transparency to Purdue’s history. In exchange for liability release, the Sacklers agreed to pay a multistate coalition $5.5 billion total; Massachusetts was expected to receive up to $110 million.
In 2021, a bankruptcy court approved Purdue’s bankruptcy plan including these settlements. In August 2023, however, the Supreme Court granted certiorari and put this plan on hold while reviewing its legality.
In today’s decision, the U.S. Supreme Court ruled that Purdue’s bankruptcy plan was not authorized under U.S. bankruptcy code as it sought to discharge claims against the Sacklers without affected claimants' consent. The case has been remanded for further proceedings.
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